African cleavages

New to Sub-Saharan Africa but bitten by the private equity bug that says invest to capture its growth? Visualising SSA as one monolithic entity and having difficulty in breaking it into digestable parts? Here are a few cleavages to consider to get you going. Distinguish consumer markets with a lot of growth potential (economic growth rate, population size, political stability) from those that don’t Distinguish promising PPP partners for large infrastructure projects (political stability, foreign reserves, track-record for relations with infrastructure investors, BITs) Political stability: Read political histories of particular countries by reading books Follow Al Jazeera, Jeune Afrique/The Africa … Continue reading African cleavages

Tips for entrepreneurs / business managers seeking equity investments: Part 1

Think of the value you create for customers vis-a-vis the competition Working in venture capital / private equity, I come across a number of poorly presented business proposals. The first thing I want to know about a business is whether it will be able to sustain growth and profitability by offering customers something of value that no-one else does – whether it be a product or service that noone else currently offers, a product or service of a higher quality or at a lower price than any competition is able to offer, or whether it maintains a monopoly/competitive edge thanks to the nature of … Continue reading Tips for entrepreneurs / business managers seeking equity investments: Part 1